PROF DR NICK H.M VAN DAM THE 4TH INDUSTRIAL REVOLUTION & THE FUTURE OF JOBS Download free eBooks at bookboon.com The 4th Industrial Revolution & The Future of Jobs 1st edition © 2017 Prof Dr Nick H.M van Dam & bookboon.com ISBN 978-87-403-1883-8 All rights reserved No part of this book may be reproduced, stored, or transmitted by any means—whether auditory, graphic, mechanical, or electronic—without written permission of both publisher and author, except in the case of brief excerpts used in articles and reviews and/or the re-usage of illustrations as long as the source is cited The book doesn’t include citations but all sources used are included in the reference section of the book Neither the publisher nor author assume any liability for any errors or omission or for how this book or its content are used or interpreted or for any consequences resulting directly or indirectly from the use of this book The author will donate all royalties to the e-Learning for Kids Foundation This organization provides free digital learning for underserved elementary school children: Website: www.e-learningforkids.org Download free eBooks at bookboon.com ΤΗΕ 4ΤΗ ΙΝDΥΣΤΡΙΑΛ ΡΕςΟΛΥΤΙΟΝ & ΤΗΕ ΦΥΤΥΡΕ ΟΦ ϑΟΒΣ ΒΟΟΚΣ ΦΡΟΜ ΤΗΕ ΑΥΤΗΟΡ 26 CONTENTS About the author Disruption Ahead The Future of Jobs 16 Change In Skills 22 New Jobs 25 Books from the Author 26 The e-Learning for Kids Foundation 28 References 30 Download free eBooks at bookboon.com ABOUT THE AUTHOR PROF DR NICK VAN DAM is full professor CORPORATE LEARNING & LEADERSHIP DEVELOPMENT Nick has a passion for people development and is excited about helping individuals to reach their full potential He strongly believes that lifelong learners are more successful professionally and lead happier, more fulilling lives Nick is keenly interested in the emerging insights from the ields of positive development including: Psychology, Sociology, Cognitive Neuroscience, Andragogy and Philosophy hese all have enormous potential to transform people development and to lead to the creation of healthy, humanly sustainable organizations Nick studied Economics, Business Economics and Pedagogy (Vrije Leergangen – Vrije Universiteit van Amsterdam), Organizational Sociology (Universiteit van Amsterdam) and earned his Doctorate of Philosophy (Ph.D., Human Capital Development) He started his career in 1986 as a training consultant at (Siemens-) Nixdorf In 1995, he joined Deloitte Consulting in the USA and served for 19 years in international Consulting/ Learning & Development/Human Resources executive roles Currently he is a partner, Global Chief Learning Oicer and Client Advisor at McKinsey & Company Nick is a visiting professor and advisory board member at the University of Pennsylvania’s, PennCLO Executive Doctorate Program In 2016, he joined the Corporate Advisory Board of edX which is a non-proit organization founded by Harvard and MIT, with a mission to bridge the gap between education and employment Nick has (co)authored 17 books and is an internationally known thought leader in Human Capital Development His latest book: YOU! he Positive Force in Change Nick has written many articles and has been quoted by he Financial Times, he Wall Street Journal, Fortune Magazine, Business Week, Harvard Business Review, he India Times, Information Week, Management Consulting, CLO Magazine, and T+D Magazine Under the patrons of the European Parliament Federal Ministry of Education & Research, he received ‘he 2013 Leonardo European Corporate Learning Award’ for shaping the future of organizational learning and leadership development Download free eBooks at bookboon.com He is the Founder and Chairman of e-Learning for Kids (www.e-learningforkids.org), a global non-proit foundation that ofers free, digital lessons for underserved elementary school aged children worldwide Dr Nick van Dam and Dr Jacqui Brassey have developed diagnostic instruments to help you grow and develop: A MINDSETS FOR LIFELONG LEARNERS and B AUTHENTIC PROFESSIONAL CONFIDENCE Take our free assessments at: www.reachingyourpotential.org Download free eBooks at bookboon.com ΤΗΕ 4ΤΗ ΙΝDΥΣΤΡΙΑΛ ΡΕςΟΛΥΤΙΟΝ & ΤΗΕ ΦΥΤΥΡΕ ΟΦ ϑΟΒΣ DΙΣΡΥΠΤΙΟΝ ΑΗΕΑD DISRUPTION AHEAD I am proud to be the second generation of my family who has worked in the township ‘Breukelen – Nijenrode’ My great-great-great grandfather Matijs van Dam (1763–1823) who lived about 200 years ago, was a so called day labourer (in Dutch dagloner) and was paid for each day that he worked in agriculture In the Netherlands today, we would have called him a zzp-er or in English a contractor or free agent Matijs grew up in a largely agricultural society Around 1810 in the Netherlands, an estimated 45% of a population of million people worked in agriculture he Netherlands had been one of the wealthiest modern economies of the world, but due to a crippling public debt and geo-political factors it lost this position between 1800–1850 FIGURE 3: NYENRODE AT THE TIME OF MATIJS VAN DAM (1763–1824) Source: Jacobus Schijnvoet Matijs lived during a time of signiicant change He was the witness of six tumultuous historical stages of governance, including: • • • • • • De Republiek van de Zeven Verenigde Nederlanden (1588–1795); De Bataafse Republiek (1795–1801) Het Bataafs Gemenebest (1801–1806) Het Koninkrijk Holland (1806–1810) Het Eerste Franse Keizerrijk (1810–1813) Het Koninkrijk der Nederlanden (1813/1815–today) Download free eBooks at bookboon.com ΤΗΕ 4ΤΗ ΙΝDΥΣΤΡΙΑΛ ΡΕςΟΛΥΤΙΟΝ & ΤΗΕ ΦΥΤΥΡΕ ΟΦ ϑΟΒΣ DΙΣΡΥΠΤΙΟΝ ΑΗΕΑD Relatively shortly after the establishment of the Kingdom of the Netherlands, Matijs also experienced a development that we would have called Bexit, when in 1830 Belgium separated from the Kingdom of the Netherlands FIGURE 4: THE FIRST INDUSTRIAL REVOLUTION: MECHANIZATION & STEAM POWER Matijs lived at the beginning of the First Industrial Revolution in Britain (est 1760–1840), which spread internationally his period was driven by technology inventions, particularly the steam engine, which improved the way that machines could be operated A strategic application of the steam engine was the steam locomotive which was invented in 1804 he irst railway line opened in the Netherlands in 1839 and the expansion of the railway net was another motor behind industrialization he mechanization of agriculture resulted in a growth of a number of new factories for example: sugar factories, potato factories, lour factories, and strawboard factories Agriculture continued to be the biggest economic sector in the Netherlands during the 19th century However the industrialization also fueled the rise of other industries such as the textile industry, machine industry, leather-shoe industry, and the cigar industry, to name a few And these developments demanded new skill sets from the labourers A consequence of the First Industrial Revolution in the Netherlands was that handmade crafts businesses could not compete with the products from the factories and closed down Former craft workers (including women and children) tried to ind jobs at factories hus, the supply of labour exceeded the demand which resulted in very low wages for long hours of work And this produced a growing gap between the rich and the poor Download free eBooks at bookboon.com ΤΗΕ 4ΤΗ ΙΝDΥΣΤΡΙΑΛ ΡΕςΟΛΥΤΙΟΝ & ΤΗΕ ΦΥΤΥΡΕ ΟΦ ϑΟΒΣ DΙΣΡΥΠΤΙΟΝ ΑΗΕΑD FIGURE 5: THE SECOND INDUSTRIAL REVOLUTION: MASS PRODUCTION & ASSEMBLY LINE Source: Movie Modern Times, Charlie Chapin, 1936 he Second Industrial Revolution (1870–1914), also known as the Technological Revolution started in the inal third of the 19th century, when new technologies brought mass production and rapid industrialization accompanied by the introduction of assembly lines and electriication Many more factories were built during the Second Industrial Revolution and new jobs were created for people to work on machines However, existing work was replaced as well For example, agriculture machines increasingly replaced the work formerly done by people and animals Workers in factories experienced a challenging life hey typically worked 10 hours a day, days a week, and the working conditions were often unsafe and most work was drudgery In the famous movie Modern Times (1936), Charlie Chaplin portrays the manic pace of the factory worker on an assembly line he ilm well depicts the employment conditions that were created by the Second Industrial Revolution FIGURE 6: THE THIRD INDUSTRIAL REVOLUTION: COMPUTER & AUTOMATION Source: picture Steve Jobs and Steve Wozniak Download free eBooks at bookboon.com ΤΗΕ 4ΤΗ ΙΝDΥΣΤΡΙΑΛ ΡΕςΟΛΥΤΙΟΝ & ΤΗΕ ΦΥΤΥΡΕ ΟΦ ϑΟΒΣ DΙΣΡΥΠΤΙΟΝ ΑΗΕΑD he hird Industrial Revolution (1960–1990) brought mainframe computers (1960), personal computing (1970s and 1980s), and the Internet (1990s) his revolution altered the interaction between individuals and companies Technological advancement placed pressure on the traditional middle class who worked in transaction jobs For example, the following jobs declined between 1970–2010 because of automation: general clerks (-37%); bookkeeping jobs (-43%); secretaries (-59%); typists (-80%); and telephone operators (-86%).2 On the other hand, a lot of non-transactional and non-production jobs were created that required complex problem solving skills, signiicant experience, and speciic contextual knowledge, e.g software developers, computer designers, pc network specialists, printer technicians, and IT consultants FIGURE 7: THE FOURTH INDUSTRIAL REVOLUTION: CYBER PHYSICAL SYSTEMS Source: www.jllrealviews.com Today, we are at the beginning of the Fourth Industrial Revolution (2012– ), which can be described as the advent of “cyber-physical systems” involving entirely new capabilities for people and machines A cyber-physical system can be deined as a mechanism controlled or monitored by computer-based algorithms, tightly integrated with internet and its users his revolution is fueled by smaller and more powerful sensors, the mobile internet, machine learning, and artiicial intelligence he Fourth Industrial Revolution was the theme of the 2016 World Economic Forum (WEF) in Davos Professor Klaus Schwab, the founder and executive chairman of the WEF, has published a book on this topic Some people refer to this revolution as a combination of Industry 4.0 and Smart Services Others combine the trends of the hird and Fourth Industrial Revolution and continue to call it the hird Industrial Revolution or the Digital Revolution Download free eBooks at bookboon.com 10 ...PROF DR NICK H.M VAN DAM THE 4TH INDUSTRIAL REVOLUTION & THE FUTURE OF JOBS Download free eBooks at bookboon.com The 4th Industrial Revolution & The Future of Jobs 1st edition © 2017 Prof Dr... Belgium separated from the Kingdom of the Netherlands FIGURE 4: THE FIRST INDUSTRIAL REVOLUTION: MECHANIZATION & STEAM POWER Matijs lived at the beginning of the First Industrial Revolution in Britain... Industry 4.0 and Smart Services Others combine the trends of the hird and Fourth Industrial Revolution and continue to call it the hird Industrial Revolution or the Digital Revolution Download free eBooks